A deed that transfers whatever interest the maker of the deed may have in the particular parcel of land. A quitclaim deed is often given to clear the title when the grantor's interest in a property is questionable. By accepting such a deed, the buyer assumes all the risks. Such a deed makes no warranties as to the title, but simply transfers to the buyer whatever interest the grantor does have.
In certain situations, a quitclaim deed may be necessary to clear up title issues with a property. It is a way to transfer or “quit” the interests of a property easily. It does not, however, include any guarantees on the title.
A quitclaim deed transfers the interests in a property from one person or party (the grantor) to another (the grantee). The grantor gives up his/her interest in the property and transfers it to the grantee. There is no guarantee made on the title for the grantee; therefore, the grantee has to assume all risks associated with the title for the property.
Some examples of when a quitclaim deed would be appropriate may help clear up its meaning. For example, if a couple is divorcing, instead of selling the property, the husband may prefer to transfer ownership to the wife. A quitclaim deed would do this. Also, if several members of an extended family own a property jointly and one member wants out, a quitclaim deed accomplishes that.
A quitclaim deed can also clear up title issues. Say someone is trying to sell a property, but discovers that there is a defect on the title during the title search. For whatever reason, the previous owner is still on the title. The simplest solution to this problem is to have the previous owner sign a quitclaim deed to transfer all of the property rights to the current owner.
Be sure to be very thorough when using a quitclaim deed to make sure that everything goes as it should. Talk with a financial advisor or attorney before signing or accepting a quitclaim deed.